An online money transfer provides a convenient way to send money to anyone or any business locally or abroad.
You can also transfer the money using various methods, including cash, your bank account or another financial platform, or a credit or debit card. Or you can also receive money online yourself using one of these methods.
Transferring money online is also fast. In fact, in many cases, the transaction is completed instantly but usually in no more than 3 business days.
Sending funds this way is also secure as once the financial data is sent, it is encrypted so that it doesn’t make sense en route. However, once it reaches the recipient’s financial institution, it is decrypted into money and credited to their account.
There are various web-based services that facilitate online money transfers, each with its own transfer limits and restrictions, including:
PayPal is an online payment platform that also enables users to transfer money online.
However, to use the service, both parties must have a PayPal account that is linked to a bank account.
Once a user signs up, they can send money to other PayPal members simply by entering the email address that is linked to the receiver’s account. The funds are then transferred, usually instantly, from the sender’s account to the recipient’s. However, in some cases, it can take up to 5 business days.
To open the account is free; however, the sender may be charged a fee for certain transactions, which is typically a percentage of the transfer amount.
There is also currently a transfer limit of $10,000 per transaction.
Venmo is a mobile app that also enables its users to send money to other members online.
To use the service, you simply link a debit card to the app, or you can transfer the funds directly from your Venmo account. You can also use your bank account or even a credit card to transfer funds online.
Each of your transactions is also publicly displayed, so others can see who has received funds, as well as who has sent funds, and from whom.
This service is also free to use; however, senders may be charged transaction fees similar to credit cards, and merchants may also be charged a fee for accepting Venmo payments.
Wire transfers also enable you to transfer money online; however, they differ from typical online money transfers in that they require the recipient’s name and bank account number to deposit the funds.
They also usually take a few business days to complete, as opposed to most online money transfers that take just seconds to transfer the data.
A wire transfer can be made in person using cash at a wire transfer service, or the sender can transfer funds online directly to a participating bank account. The sender can also conduct a wire transfer from bank to bank.
The cost of a wire transfer will depend on whether the funds are being transferred nationally or internationally.
Western Union is a wire and online funds transfer service that enables customers to send money to a bank account, a mobile wallet, or for cash pick up, using cash, credit or debit card, or a bank transfer.
To send money online, simply sign up for the Western Union app and then follow the instructions to complete the transfer.
With online money transfers, you no longer have to wait for a paper check to clear to get paid. Instead, simply sign up for an online money transfer account to receive your payments instantly.